Carter's BBQ Restaurant produces BBQ sauce for resale at grocery stores throughout North America. The company is currently in the process of establishing a master budget on a quarterly basis for this coming fiscal year, which ends December 31. Prior year quarterly sales were as follows (1 unit = 1 batch):

First quarter

67,200 units

Second quarter

80,640 units

Third quarter

100,800 units

Fourth quarter

87,360 units

Unit sales are expected to increase 25%, and each unit is expected to sell for $8. The management prefers to maintain ending finished goods inventory equal to 10% of next quarter's sales. Assume that finished goods inventory at the end of the fourth quarter budget period is estimated to be 9,000 units.

Using Excel prepare a sales budget for Carter's BBQ Restaurant using a format similar to Figure 9.3, "Sales Budget for Jerry's Ice Cream." (Hint: Be sure to increase last year's unit sales by 25%.)

Using Excel prepare a production budget for Carter's BBQ Restaurant using the format shown in Figure 9.4, "Production Budget for Jerry's Ice Cream."